Share Name Share Symbol Market Type Share ISIN Share Description
Maven Income And Growth Vct 6 Plc LSE:MIG6 London Ordinary Share GB00B1BV3Z44 ORD 10P
  Price Change % Change Share Price Bid Price Offer Price High Price Low Price Open Price Shares Traded Last Trade
  +0.00p +0.00% 47.30p 45.80p 48.80p 47.30p 47.30p 47.30p 0 01:00:00
Industry Sector Turnover (m) Profit (m) EPS - Basic PE Ratio Market Cap (m)
General Financial 0.0 -0.1 -0.3 - 13

Maven Income and Growth VCT 6 PLC Annual Financial Report

12/07/2019 4:55pm

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Maven Income and Growth VCT 6 PLC

12 July 2019

Maven Income and Growth VCT 6 PLC

Final results for the year ended 31 March 2019.


   --      NAV total return at year end of 57.62p per share (2018: 60.01p) 
   --      NAV at year end of 52.77p per share (2018: 55.16p) 
   --      Final dividend of 1.75p per share proposed 

-- Over GBP9 million of capital deployed through qualifying investments, during the period and up to the date of

the Annual Report

   --      Completion of 27 new and follow-on private company and AIM investments 
   --      Exits from the holdings in GEV and Just Trays completed after the period end 

Chairman's Statement

On behalf of your Board, I am pleased to update Shareholders on the progress achieved in the year to 31 March 2019. During the period under review, your Company made further significant headway in the construction of the long-term portfolio, achieving a record level of investment through the deployment of GBP8.78 million in 27 new and follow-on VCT qualifying transactions in young growth companies, operating across a diverse range of sectors. Whilst the rapid expansion of the portfolio over the past two years has established the foundations for future growth, it will take time for this to translate into improvements in Shareholder value as all holdings in earlier stage assets are initially held at cost, or cost less provision, reflecting their stage of development and risk profile. The Directors, nevertheless, recognise the importance of tax-free distributions to Shareholders and are proposing a final dividend of 1.75p per share, representing an annual yield of 3.61%.

During 2015 and 2016, your Company undertook two material fundraisings, with the central aim of increasing its size and scale in order to deliver a number of benefits, including an enlarged portfolio of assets and a reduction in the total expense ratio. Following the successful completion of these fundraisings, and with significant new capital to deploy, the key objective for the financial year under review was to continue to invest this capital in a range of interesting VCT qualifying assets. Your Board is pleased to report that this objective has been achieved, in line with the regulatory requirements. Achieving the investment target within the required timeframe reflects the effective transition by the Manager to the requirements of the Finance Act 2015 which necessitated an expansion of Maven's investment team and nationwide office network, alongside a revised approach to deal origination. The Manager also has executive resource with experience of the AIM market and has completed a number of new AIM quoted investments during the year. Generally, your Board is pleased with the new additions to the portfolio, although it will take time for these assets to mature and grow in value.

In the new financial year, your Company will continue to participate in Maven led VCT investments, with the requirement to provide follow-on funding to existing portfolio holdings also driving investment activity, as many of the early stage assets will require additional capital to support growth. Furthermore, your Company may also see a greater level of activity within the AIM component of the portfolio as holdings are likely to be actively traded to enable the crystallisation of gains, subject always to suitable market conditions and the VCT qualifying level requirements.

Details of the principal Key Performance Indicators (KPIs) can be found in the Business Report in the Annual Report and a summary of the Alternative Performance Measures (APMs) can be found in the Financial Highlights in the Annual Report.

Whilst political and economic uncertainty has continued to surround the UK's exit from the European Union (EU), it is reassuring to report that most of the investee companies in the portfolio have performed broadly in line with expectations.

A detailed analysis of portfolio developments can be found in the Investment Manager's Review in the Annual Report. A number of the more established private company holdings have continued to trade well, enabling the valuations of certain assets to be increased. Encouragingly, trading performance across the oil & gas portfolio companies continued to show a steady improvement, maintaining the trend of the previous year. The young and early stage investee companies have generally made satisfactory progress against plan, although the Board and the Manager will maintain a conservative approach to valuing these assets, holding them at cost, or cost less provision, until there is clear evidence of measurable progress or a specific event from which a new valuation can be supported. Elsewhere in the portfolio there are, however, a small number of investments that are operating behind plan or where a market adjustment has influenced performance and, as a result, the valuations of these assets have been reduced.

During the period under review, the holding in Cursor Controls, a niche manufacturer of trackballs, trackpads and keyboards for industrial applications, was sold at a premium to carrying value, generating a total return of 2.7 times cost over the three-year investment period.

The Board is aware that discussions are underway regarding further potential exits from a number of portfolio companies, although there can be no certainty that these will result in profitable realisations.


The Board recommends that a final dividend of 1.75p per Ordinary Share, be paid on 13 September 2019 to Shareholders on the register at 16 August 2019. This payment represents a yield of 3.61% based on the year-end closing mid-market price of 48.50p. It should be noted that the effect of paying dividends is to reduce the NAV of the Company by the total cost of the distribution. Since 2013, and after receipt of the payment noted above, 6.60p per share will have been paid in tax-free dividends.

Decisions on future distributions will take into consideration the availability of surplus revenue, the adequacy of reserves and the VCT qualifying level, all of which are kept under close and regular review by the Board and the Manager. As the portfolio now contains a greater proportion of holdings in young and early stage companies, there may be fluctuations in the quantum and timing of future dividend payments, which are likely to be more closely aligned to realisation activity. The Board and the Manager will continue to monitor this carefully, in line with your Company's investment objective.

Dividend Investment Scheme (DIS)

Your Company has in place a DIS, through which Shareholders may elect to have their dividend payments used to apply for new Ordinary Shares issued by the Company under the standing authority requested from Shareholders at Annual General Meetings. Shares issued under the DIS should qualify for VCT tax relief applicable for the tax year in which they are allotted, subject to an individual Shareholder's particular circumstances. If a Shareholder is in any doubt about the merits of participating in the DIS, or their own tax status, they should seek advice from a suitably qualified adviser.

Shareholders who wish to participate in the DIS in respect of future dividends should ensure that a DIS mandate or CREST instruction, as appropriate, is received by the Registrar (Link Market Services) in advance of 30 August 2019, this being the next dividend election date. The mandate form, terms & conditions and full details of the scheme (including further details about tax considerations) are available from the Company's website at A DIS election can also be made using the Registrar's share portal at

Share Buy-backs

Shareholders should be aware that the Board's primary objective is for the Company to retain sufficient liquid assets for making investments in line with its stated policy and for the continued payment of dividends. However, the Directors also acknowledge the need to maintain an orderly market in the Company's shares and have delegated authority to the Manager to buy back shares in the market for cancellation or to be held in treasury, subject always to such transactions being in the best interests of Shareholders.

It is intended that, subject to market conditions, available liquidity and the maintenance of the Company's VCT status, shares will continue to be bought back at prices representing a discount of between 10% and 20% to the prevailing NAV per share.

Regulatory Developments

Following the legislative changes introduced by the Finance Act 2015, with further amendments included in the Finance Act 2018, it is reassuring to report that the Finance Act 2019 does not contain any further amendments to the legislation governing VCTs. Your Company is well positioned to accommodate the provisions of the Finance Act 2018, and in particular the requirement for a VCT to hold 80% of its investments in qualifying holdings. Your Company is on track to meet this requirement ahead of its required date of 31 March 2020.

The General Data Protection Regulation (GDPR) came into force on 25 May 2018, replacing the Data Protection Act 1998. During the year, the Manager worked with the third parties that process Shareholders' personal data to ensure that their rights under the new regulation are respected.

In July 2018, the Financial Reporting Council published an update of the UK Corporate Governance Code (the Code), which focuses on the application and reporting of the updated Principles. The 2018 Code applies to all companies with a Premium Listing and is applicable for all accounting periods beginning on or after 1 January 2019. The Board will consider the implications of the Code and take appropriate action as required.

The Future

During the period under review, your Company achieved its core objective of meeting the required investment target. Your Board is encouraged by the quality of the new additions to the portfolio, whilst acknowledging that it may take time for these assets to mature and grow in value. Notwithstanding the ongoing political and economic uncertainty associated with the UK's withdrawal from the EU, the strategy for the year ahead will focus on building value within the portfolio, alongside making selective new investments in private and AIM quoted companies, consistent with the approach of recent years.

Brian May


12 July 2019

Business Report

This Business Report is intended to provide an overview of the strategy and business model of the Company as well as the key measures used by the Directors in overseeing its management. The Company is a venture capital trust, which invests in accordance with the investment objective set out below.

Investment Objective

The Company aims to achieve long-term capital appreciation and generate income for Shareholders.

Business Model and Investment Policy

Under an investment policy approved by the Directors, the Company intends to achieve its objective by:

-- investing the majority of its funds in a diversified portfolio of shares and securities in smaller, unquoted UK companies and AIM/NEX quoted companies which meet the criteria for VCT qualifying investments and have strong growth potential;

-- investing no more than GBP1.25 million in any company in one year and no more than 15% of the Company's assets by cost in one business at any time; and

-- borrowing up to 15% of net asset value, if required and only on a selective basis, in pursuit of its investment strategy.

Principal Risks and Uncertainties

The principal risks and uncertainties facing the Company are as follows:

Investment Risk

Many of the Company's investments are in small and medium sized unlisted and AIM/NEX quoted companies, some of which may be in the early stages of their development and, by their nature, have a higher level of risk and lower liquidity than investments in large quoted companies. The Board aims to limit the risk attaching to the investment portfolio as a whole by ensuring that a structured selection, monitoring and realisation process is applied by the Manager. The Board reviews the investment portfolio with the Manager on a regular basis.

The Company manages and minimises investment risk by:

   --    diversifying across a large number of companies; 
   --    diversifying across a range of economic sectors; 
   --    actively and closely monitoring the progress of investee companies; 
   --    co-investing with other clients of Maven and other VCT managers; 

-- ensuring valuations of underlying investments are made fairly and reasonably (see Notes to the Financial Statements 1(e) and 1(f) for further detail);

   --    taking steps to ensure that share price discount is managed appropriately; and 

-- choosing and appointing an FCA authorised investment manager with the appropriate skills, experience and resources required to achieve the investment objectives above, with ongoing monitoring to ensure the Manager is performing in line with expectations.

An explanation of certain risks and how they are managed is contained in Note 16 in the Annual Report.

Financial and Liquidity Risk

As most of the investments require a medium to long term commitment and are relatively illiquid, the Company retains a portion of the portfolio in cash or cash equivalents in order to finance any new and follow-on investment opportunities. The Company has only limited direct exposure to currency risk and does not enter into any derivative transactions.

Economic Risk

The valuation of investment companies may be affected by underlying economic conditions such as fluctuating interest rates and the availability of bank finance.

The economic and market environment is kept under constant review and the investment strategy of the Company adapted so far as is possible to mitigate emerging risks.

Credit Risk

The Company may hold financial instruments and cash deposits and is dependent on counterparties discharging their agreed responsibilities. The Directors consider the creditworthiness of the counterparties to such instruments and seek to ensure that there is no undue concentration of exposure to any one party.

Internal Control Risk

The Board reviews regularly the system of internal controls, both financial and non-financial, operated by the Company, the Manager and other key third party outsourcers such as the Custodian, Company Secretary and Registrar. These include controls designed to ensure that the Company's assets are safeguarded, that all records are complete and accurate and that the third parties have adequate controls in place to prevent data protection and cyber security failings.

VCT Qualifying Status Risk

The Company operates in a complex regulatory environment and faces a number of related risks, including:

-- becoming subject to capital gains tax on the sale of its investments as a result of a breach of Section 274 of the Income Tax Act 2007;

-- loss of VCT status and consequent loss of tax reliefs available to Shareholders as a result of a breach of the VCT Regulations;

-- loss of VCT status and reputational damage as a result of a serious breach of other regulations such as the FCA Listing Rules and the Companies Act 2006; and

-- increased investment restrictions resulting from EU State Aid Rules, incorporated by the Finance (No. 2) Act 2015 and the Finance Act 2018.

The Board works closely with the Manager to ensure compliance with all applicable and upcoming legislation, such that VCT qualifying status is maintained. Further information on the management of this risk is detailed under other headings in this Business Report.

Legislative and Regulatory Risk

In order to maintain its approval as a VCT, the Company is required to comply with current VCT legislation in the UK as well as the EU State Aid Rules. Changes in the future to either legislation could have an adverse impact on Shareholder investment returns whilst maintaining the Company's VCT status. The Board and the Manager continue to make representations where appropriate, either directly or through relevant industry bodies such as the British Private Equity & Venture Capital Association (BVCA).

The Company has retained Philip Hare & Associates LLP as its VCT adviser and also uses the services of a number of other VCT advisers on a transactional basis.

Breaches of other regulations including, but not limited to, the Companies Act 2006, the FCA Listing Rules, the FCA Disclosure, Guidance and Transparency Rules or the Alternative Investment Fund Managers Directive (AIFMD), could lead to a number of detrimental outcomes and reputational damage. Breaches of controls by service providers to the Company could also lead to reputational damage or loss.

The AIFMD, which regulates the management of alternative investment funds, including VCTs, introduced an authorisation and supervisory regime for all investment companies in the EU. The Company is a small, registered, internally managed alternative investment fund under the Alternative Investment Fund Managers Directive (AIFMD).

The Company is also required to comply with tax legislation under the Foreign Account Tax Compliance Act and the Common Reporting Standard. The Company has appointed Link Market Services to act on its behalf to report annually to HMRC and ensure compliance with this legislation.

Political Risk

In a referendum held on 23 June 2016, the UK voted to leave the EU (a process informally known as Brexit). The formal process of implementing this decision exists in Article 50 of the Lisbon Treaty, which was invoked on 29 March 2017. The political, economic and legal consequences of the referendum vote are not yet known. It is possible that investments in the UK may be more difficult to value and assess for suitability of risk, harder to buy or sell and may be subject to greater or more frequent rises and falls in value. In the longer term, there is likely to be a period of uncertainty as the UK seeks to negotiate its exit from the EU. The UK's laws and regulations concerning funds may, in future, diverge from those of the EU. This may lead to changes in the operation of the Company or the rights of investors in the territories in which the shares of the Company may be promoted and sold.

On a regular basis, the Board reviews the political situation together with any associated changes to the economic, regulatory and legislative environment in order to ensure that any risks arising are mitigated as effectively as possible.

An explanation of certain economic and financial risks and how they are managed is also contained in Note 16 in the Annual Report.

Statement of Compliance with Investment Policy

The Company is adhering to its stated investment policy and managing the risks arising from it. This can be seen in various tables and charts throughout the Annual Report, and from information provided in the Chairman's Statement and the Investment Manager's Review. A review of the Company's business, its position as at 31 March 2019 and its performance during the year then ended is included in the Chairman's Statement, which also includes an overview of the Company's business model and strategy.

The management of the investment portfolio has been delegated to Maven, which also provides company secretarial, administrative and financial management services to the Company. The Board is satisfied with the depth and breadth of the Manager's resources and its network of offices, which supply new deals and enable it to monitor the geographically widespread portfolio of companies effectively.

The Investment Portfolio Summary in the Annual Report discloses the investments in the portfolio and the degree of co-investment with other clients of the Manager. The tabular analysis of the unlisted and quoted portfolio in the Annual Report shows that the portfolio is diversified across a variety of sectors and deal types. The level of VCT qualifying investment is monitored by the Manager on a daily basis and reported to the Risk Committee quarterly, or as otherwise required.

Key Performance Indicators

During the year, the net return on ordinary activities before taxation was a loss of GBP979,000 (2018: a loss of GBP582,000), losses on investments were GBP416,000 (2018: 98,000) and earnings per share represented a deficit of 2.39p (2018: a deficit of 1.42p). The Directors also use a number of Alternative Performance Measures (APMs) in order to assess the Company's success in achieving its objectives as these are considered to be more appropriate long-term measures. The APMs are viewed by the Board as additional Key Performance Indicators that enable Shareholders and prospective investors to gain an understanding of the Company's business, and are as follows:

   --    NAV total return; 
   --    annual yield; 
   --    share price discount to NAV; 
   --    investment income; and 
   --    operational expenses. 

The NAV total return is a measure of Shareholder value that includes the current NAV per share and the sum of dividends paid to date. The Directors seek to pay dividends to provide Shareholders with a yield and to comply with the VCT rules, taking account of the level of distributable reserves, profitable realisations in each accounting period and the Company's future cash flow projections. The share price discount to NAV is the percentage by which the mid-market price of an investment is lower than its net asset value per share.

Definitions of these APMs can be found in the Glossary in the Annual Report. A historical record of some of these measures is shown in the Financial Highlights section of the Annual Report. The change in the profile of the portfolio is reflected in the Summary of Investment Changes in the Annual Report. The Board reviews the Company's investment income and operational expenses on a quarterly basis as the Directors consider that both of these elements are important components in the generation of Shareholder returns. Further information can be found in Notes 2 and 4 to the Financial Statements within the Annual Report.

There is no VCT index against which to compare the financial performance of the Company. However, for reporting to the Board and Shareholders, the Manager uses comparisons with appropriate indices. The Directors also consider non-financial performance measures, such as the flow of investment proposals, and ranking of the VCT sector by independent analysts.

In addition, the Directors will consider economic, regulatory and political trends and factors that may impact on the Company's future development and performance.

Valuation Process

Investments held by Maven Income and Growth VCT 6 PLC in unquoted companies are valued in accordance with the International Private Equity and Venture Capital Valuation Guidelines. Investments quoted or traded on a recognised stock exchange are valued at their bid prices.

Share Buy-backs

At the forthcoming AGM, the Board will seek the necessary Shareholder authority to conduct a share buy-back programme under appropriate circumstances.

Employee, Environmental and Human Rights Policy

The Company has no direct employee or environmental responsibilities, nor is it responsible for the emission of greenhouse gases. However, the Directors will consider economic, regulatory and political trends and features that may impact on the Company's future development and performance. The Board's principal responsibility to Shareholders is to ensure that the investment portfolio is managed and invested properly. The management of the portfolio is undertaken by the Manager through members of its portfolio management team. The Manager engages with the Company's underlying investee companies in relation to their corporate governance practices and in developing their policies on social, community and environmental matters and further information may be found in the Statement of Corporate Governance. In light of the nature of the Company's business, there are no relevant human rights issues and, therefore, the Company does not have a human rights policy.

Independent Auditor

The Company's Independent Auditor is required to report if there are any material inconsistencies between the content of the Strategic Report and the Financial Statements. The Independent Auditor's Report can be found within the Annual Report.

Future Strategy

The Board and Manager intend to maintain the policies set out above for the year ending 31 March 2020 as it is believed that these are in the best interests of Shareholders.


This Business Report, and the Strategic Report as a whole, was approved by the Board of Directors and signed on its behalf by:

Brian May


12 July 2019


For the Year Ended 31 March 2019

                                             Year ended 31 March           Year ended 31 March 
                                                            2019                          2018 
                                     Revenue   Capital     Total   Revenue   Capital     Total 
                                     GBP'000   GBP'000   GBP'000   GBP'000   GBP'000   GBP'000 
----------------------------------  --------  --------  --------  --------  --------  -------- 
Losses on investments                      -     (416)     (416)         -      (98)      (98) 
Income from investments                  177         -       177       276       -         276 
Other income                              18         -        18        25       -          25 
Investment management fees             (111)     (445)     (556)     (118)     (473)     (591) 
Other expenses                         (202)         -     (202)     (194)       -       (194) 
----------------------------------  --------  --------  --------  --------  --------  -------- 
Net return on ordinary activities      (118)     (861)     (979)      (11)     (571)     (582) 
before taxation 
Tax on ordinary activities                 -         -         -         -       -           - 
----------------------------------  --------  --------  --------  --------  --------  -------- 
Return attributable to Equity 
 Shareholders                          (118)     (861)     (979)      (11)     (571)     (582) 
----------------------------------  --------  --------  --------  --------  --------  -------- 
 Earnings per share (pence)           (0.29)    (2.10)    (2.39)    (0.03)    (1.39)    (1.42) 
----------------------------------  --------  --------  --------  --------  --------  -------- 

All gains and losses are recognised in the Income Statement.

All items in the above statement are derived from continuing operations. The Company has only one class of business and one reportable segment, the results of which are set out in the Income Statement and Balance Sheet.

The Company derives its income from investments made in shares, securities and bank deposits.

There are no potentially dilutive capital instruments in issue and therefore no diluted earnings per share figures are relevant. The basic and diluted earnings per share are therefore identical.

The accompanying Notes are an integral part of the Financial Statements and are included in full in the Annual Report.

Statement of Changes in Equity

For the Year Ended 31 March 2019

                                 Share     Capital       Capital          Special       Capital 
                     Share     premium     reserve       reserve    distributable    redemption    Revenue 
                   capital     account    realised    unrealised          reserve       reserve    reserve       Total 
                   GBP'000     GBP'000     GBP'000       GBP'000          GBP'000       GBP'000    GBP'000     GBP'000 
--------------  ----------  ----------  ----------  ------------  ---------------  ------------  ---------  ---------- 
 At 31 March 
  2018               4,093       6,543     (2,090)         (239)           15,227            90    (1,046)      22,578 
 Net return              -           -       (257)         (604)                -             -      (118)       (979) 
  of shares           (15)           -           -             -             (78)            15          -        (78) 
 Costs in 
  to DIS                 -         (5)           -             -                -             -          -         (5) 
--------------  ----------  ----------  ----------  ------------  ---------------  ------------  ---------  ---------- 
 At 31 March 
  2019               4,078       6,538     (2,347)         (843)           15,149           105    (1,164)      21,516 
--------------  ----------  ----------  ----------  ------------  ---------------  ------------  ---------  ---------- 

For the Year Ended 31 March 2018

                                 Share     Capital       Capital          Special       Capital 
                     Share     premium     reserve       reserve    distributable    redemption    Revenue 
                   capital     account    realised    unrealised          reserve       reserve    reserve       Total 
                   GBP'000     GBP'000     GBP'000       GBP'000          GBP'000       GBP'000    GBP'000     GBP'000 
--------------  ----------  ----------  ----------  ------------  ---------------  ------------  ---------  ---------- 
 At 31 March 
  2017               4,003       5,864     (1,246)           307           15,488            40    (1,035)      23,421 
 Net return              -           -        (25)         (546)                -             -       (11)       (582) 
  paid                   -           -       (819)             -                -             -          -       (819) 
  of shares           (50)           -           -             -            (261)            50          -       (261) 
 Net proceeds 
  of share 
  issue                137         668           -             -                -             -          -         805 
 Net proceeds 
  of DIS issue           3          11           -             -                -             -          -          14 
 At 31 March 
  2018               4,093       6,543     (2,090)         (239)           15,227            90    (1,046)      22,578 

The accompanying Notes are an integral part of the Financial Statements and are included in full in the Annual Report.

Balance Sheet

As at 31 March 2019

                                        31 March 2019  31 March 2018 
                                              GBP'000        GBP'000 
--------------------------------------  -------------  ------------- 
Fixed assets                                   17,077          9,282 
 Investments at fair value through 
  profit or loss                                   72            241 
 Current assets                                 4,395         13,093 
--------------------------------------  -------------  ------------- 
 Creditors                                      4,467         13,334 
  Amounts falling due within one year            (28)           (38) 
--------------------------------------  -------------  ------------- 
Net current assets                              4,439         13,296 
--------------------------------------  -------------  ------------- 
Net assets                                     21,516         22,578 
--------------------------------------  -------------  ------------- 
 Capital and reserves 
Called up share capital                         4,078          4,093 
Share premium account                           6,538          6,543 
Capital reserve - realised                    (2,347)        (2,090) 
Capital reserve - unrealised                    (843)          (239) 
Special distributable reserve                  15,149         15,227 
Capital redemption reserve                        105             90 
Revenue reserve                               (1,164)        (1,046) 
--------------------------------------  -------------  ------------- 
Net assets attributable to Ordinary 
 Shareholders                                  21,516         22,578 
--------------------------------------  -------------  ------------- 
 Net asset value per Ordinary Share 
  (pence)                                       52.77          55.16 

The Financial Statements of Maven Income and Growth VCT 6 PLC, registered number 3870187, were approved by the Board and were signed on its behalf by:

Brian May


12 July 2019

The accompanying Notes are an integral part of the Financial Statements and are included in full in the Annual Report.

Cash Flow Statement

For the Year Ended 31 March 2019

                                        Year ended 31 March  Year ended 31 March 
                                                       2019                 2018 
                                                    GBP'000              GBP'000 
--------------------------------------  -------------------  ------------------- 
Net cash flow from operating 
 activities*                                          (552)                (511) 
Cash flows from investing activities 
Purchase of investments                             (8,776)              (6,000) 
Sale of investments                                     713                1,736 
--------------------------------------  -------------------  ------------------- 
Net cash flows from investing 
 activities                                         (8,063)              (4,264) 
--------------------------------------  -------------------  ------------------- 
 Cash flows from financing activities 
Equity dividends paid                                     -                (819) 
Issue of Ordinary Shares                                  -                  819 
Repurchase of Ordinary Shares                          (78)                (261) 
Costs relating to DIS                                   (5)                    - 
Net cash flows from financing 
 activities                                            (83)                (261) 
======================================  ===================  =================== 
Decrease in cash                                    (8,698)              (5,036) 
--------------------------------------  -------------------  ------------------- 
 Cash at beginning of year                           13,093               18,129 
Cash at end of year                                   4,395               13,093 

*Refer to Note 15 in the Annual Report for reclassification in the current and prior year.

The accompanying Notes are an integral part of the Financial Statements and are included in full in the Annual Report.


For the Year Ended 31 March 2019

   1.    Accounting Policies 

The Company is a public limited company, incorporated in England and Wales and its registered office is shown in the Corporate Summary within the Annual Report.

   (a)   Basis of preparation 

The Financial Statements have been prepared under the historical cost convention, as modified by the revaluation of investments and in accordance with FRS 102, The Financial Reporting Standard applicable in the UK and Republic of Ireland, and in accordance with the Statement of Recommended Practice for Investment Trust Companies and Venture Capital Trusts (the SORP) issued by the Association of Investment Companies (AIC) in November 2014.

   (b)   Income 

Dividends receivable on equity shares and unit trusts are treated as revenue for the period on an ex-dividend basis. Where no ex-dividend date is available dividends receivable on or before the year end are treated as revenue for the period. Provision is made for any dividends not expected to be received. The fixed returns on debt securities and non-equity shares are recognised on a time apportionment basis so as to reflect the effective interest rate on the debt securities and shares. Provision is made for any fixed income not expected to be received. Interest receivable from cash and short term deposits and interest payable are accrued to the end of the year.

   (c)   Expenses 

All expenses are accounted for on an accruals basis and charged to the income statement. Expenses are charged through the revenue account except as follows:

-- expenses which are incidental to the acquisition and disposal of an investment are charged to capital; and

-- expenses are charged to realised capital reserves where a connection with the maintenance or enhancement of the value of the investments can be demonstrated. In this respect the investment management fee has been allocated 20% to revenue and 80% to realised capital reserves to reflect the Company's investment policy and prospective income and capital growth.

   (d)   Taxation 

Deferred taxation is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date, where transactions or events that result in an obligation to pay more tax in the future or right to pay less tax in the future have occurred at the balance sheet date. This is subject to deferred tax assets only being recognised if it is considered more likely than not that there will be suitable profits from which the future reversal of the underlying timing differences can be deducted. Timing differences are differences arising between the Company's taxable profits and its results as stated in the Financial Statements which are capable of reversal in one or more subsequent periods.

   (e)   Investments 

In valuing unlisted investments the Directors follow the criteria set out below. These procedures comply with the revised International Private Equity and Venture Capital Valuation Guidelines (IPEVCV) for the valuation of private equity and venture capital investments. Investments are recognised at their trade date and are designated by the Directors as fair value through profit and loss. At subsequent reporting dates, investments are valued at fair value, which represents the Directors' view of the amount for which an asset could be exchanged between knowledgeable and willing parties in an arm's length transaction. This does not assume that the underlying business is saleable at the reporting date or that its current shareholders have an intention to sell their holding in the near future.

A financial asset or liability is generally derecognised when the contract that gives rise to it is settled, sold, cancelled or expires.

1. For early stage investments completed in the reporting period, fair value is determined using the Price of Recent Investment Method, except that adjustments are made when there has been a material change in the trading circumstances of the investee company.

2. Whenever practical, recent investments will be valued by reference to a material arm's length transaction or a quoted price.

3. Mature companies are valued by applying a multiple to their prospective earnings to determine the enterprise value of the company.

3.1 To obtain a valuation of the total ordinary share capital held by management and the institutional investors, the value of third party debt, institutional loan stock, debentures and preference share capital is deducted from the enterprise value. The effect of any performance related mechanisms is taken into account when determining the value of the ordinary share capital.

3.2 Preference shares, debentures and loan stock are valued using the Price of Recent Investment Method. When a redemption premium has accrued, this will only be valued if there is a reasonable prospect of it being paid. Preference shares which carry a right to convert into ordinary share capital are valued at the higher of the Price of Recent Investment Method basis and the price/earnings basis.

4. In the absence of evidence of a deterioration, or strong defensible evidence of an increase in value, the fair value is determined to be that reported at the previous balance sheet date.

5. All unlisted investments are valued individually by the portfolio management team of Maven Capital Partners UK LLP. The resultant valuations are subject to detailed scrutiny and approval by the Directors of the Company.

6. In accordance with normal market practice, investments listed on the Alternative Investment Market or a recognised stock exchange are valued at their bid market price.

   (f)    Fair value measurement 

Fair value is defined as the price that the Company would receive upon selling an investment in a timely transaction to an independent buyer in the principal or the most advantageous market of the investment. A three-tier hierarchy has been established to maximise the use of observable market data and minimise the use of unobservable inputs and to establish classification of fair value measurements for disclosure purposes. Inputs refer broadly to the assumptions that market participants would use in pricing the asset or liability, including assumptions about risk, for example, the risk inherent in a particular valuation technique used to measure fair value including such a pricing model and/or the risk inherent in the inputs to the valuation technique. Inputs may be observable or unobservable.

Observable inputs are inputs that reflect the assumptions market participants would use in pricing the asset or liability developed based on market data obtained from sources independent of the reporting entity.

Unobservable inputs are inputs that reflect the reporting entity's own assumptions about the assumptions market participants would use in pricing the asset or liability developed based on best information available in the circumstances.

The three-tier hierarchy of inputs is summarised in the three broad levels listed below.

-- Level 1 - the unadjusted quoted price in an active market for identical assets or liabilities that the entity can access at the measurement date.

-- Level 2 - inputs other than quoted prices included within Level 1 that are observable (ie developed using market data) for the asset or liability, either directly or indirectly.

-- Level 3 - inputs are unobservable (ie for which market data is unavailable) for the asset or liability.

   (g)   Gains and losses on investments 

When the Company sells or revalues its investments during the year, any gains or losses arising are credited/charged to the Income Statement.

   (h)   Critical accounting judgements and key sources of estimation uncertainty 

Disclosure is required of judgements and estimates made by the Board and the Manager in applying the accounting policies that have a significant effect on the financial statements. The area involving the highest degree of judgement and estimates is the valuation of unlisted investments recognised in Note 8 in the Annual Report and explained I n Note 1(e) above.

In the opinion of the Board and the Manager, there are no critical accounting judgements.


Share premium account

The share premium account represents the premium above nominal value received by the Company on issuing shares net of issue costs.

Capital reserves

Gains or losses on investments realised in the year that have been recognised in the Income Statement are transferred to the capital reserve realised account on disposal. Furthermore, any prior unrealised gains or losses on such investments are transferred from the capital reserve unrealised account to the capital reserve realised account on disposal.

Increases and decreases in the fair value of investments are recognised in the Income Statement and are then transferred to the capital reserve unrealised account. The capital reserve realised account also represents capital dividends, capital investment management fees and the tax effect of capital items.

Special distributable reserve

The total cost to the Company of the repurchase and cancellation of shares is represented in the special distributable reserve.

Capital redemption reserve

The nominal value of shares repurchased and cancelled is represented in the capital redemption reserve.

Revenue reserve

The revenue reserve represents accumulated profits retained by the Company that have not been distributed to Shareholders as a dividend.

Return per Ordinary Share

                                      Year ended 31 March  Year ended 31 March 
                                                     2019                 2018 
------------------------------------  -------------------  ------------------- 
The returns per share have been                40,905,054           41,117,461 
 based on the following figures: 
 Weighted average number of Ordinary         (GBP118,000)          (GBP11,000) 
 Revenue return                              (GBP861,000)         (GBP571,000) 
 Capital return 
------------------------------------  -------------------  ------------------- 
Total return                                 (GBP979,000)         (GBP582,000) 
------------------------------------  -------------------  ------------------- 

Net Asset Value per Ordinary Share

Net asset value per Ordinary Share as at 31 March 2019 has been calculated using the number of Ordinary Shares in issue at that date of 40,777,657 (2018: 40,927,657).

Directors' Responsibility Statement

The Directors believe that, to the best of their knowledge:

-- the Financial Statements have been prepared in accordance with the applicable accounting standards and give a true and fair view of the assets, liabilities, financial position and profit or loss of the Company as at 31 March 2019 and for the year to that date;

-- the Directors' Report includes a fair review of the development and performance of the Company, together with a description of the principal risks and uncertainties that it faces; and

-- the Annual Report and Financial Statements taken as a whole is fair, balanced and understandable and provides the information necessary for Shareholders to assess the Company's position and performance, business model and strategy.

Other information

The Annual General Meeting of the Company will be held on 4 September 2019, commencing at 11.00 am at 5th Floor, 1-2 Royal Exchange Buildings, London, EC3V 3LF.

Copies of this announcement and copies of the Annual Report and Financial Statements for the year ended 31 March 2019 will be available to the public at the office of Maven Capital Partners UK LLP, Kintyre House, 205 West George Street, Glasgow G2 2LW; at the registered office of the Company, Fifth Floor, 1-2 Royal Exchange Buildings, London EC3V 3LF; and on the Company's website at:

The Annual Report and Financial Statements for the year ended 31 March 2019 will be issued to Shareholders and filed with the Registrar of Companies in due course.

The financial information contained within this announcement does not constitute the Company's statutory Financial Statements as defined in the Companies Act 2006. The statutory Financial Statements for the year ended 31 March 2018 have been delivered to the Registrar of Companies and contained an audit report which was unqualified and did not constitute statements under S498(2) or S498(3) of the Companies Act 2006.

Neither the content of the Company's website nor the contents of any website accessible from hyperlinks on the Company's website (or any other website) is incorporated into, or forms part of, this announcement.

The Annual Report will be submitted to the National Storage Mechanism and, in due course, will be available for inspection at

By order of the Board

Maven Capital Partners UK LLP


12 July 2019

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact or visit



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July 12, 2019 11:55 ET (15:55 GMT)

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